Shell Declares Force Majeure After Facility Leak

Oil giant, Shell Plc, has said that its local unit has declared a force majeure on supplies to a liquefied natural gas plant in Nigeria because of a leak in a pipeline.

This latest incident is coming as Nigeria grapples with militant attacks on energy infrastructure that are hurting exports.

“The pipeline has been shut down for a joint investigation visit into the cause of the leak and repairs,” a Shell spokeswoman, Natasha Obank, said in a statement.

The leak occurred on the Eastern Gas Gathering System (EGGS-1) pipeline which supplies the bulk of Shell’s gas to the Nigeria LNG plant on Bonny Island. Some supply continues through other pipelines, Shell said.

The federal government has resumed payments to former militants and is attempting to establish talks to end attacks on pipeline infrastructure in the oil-rich Niger Delta.

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